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Essay about bounded rationality

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NEWCASTLE BUSINESS SCHOOL
& LEARNING DEVELOPMENT

GSBS6001
Assignment 1: OVERALL STRUCTURE The following is an example of how this assignment might look when finished. The word limits are indicated at the end of each section. This is neither an essay or a report; it is simply an assignment with 3 sections. It does not need to have an introduction or a conclusion. Clarity is achieved by clear section headings, and clear paragraphing.

NB: our example does not reach 1500 words; further paragraphs need to be written in sections 2 and 3.

The Decision
A mining claim of 60 miles had to be staked, and the project manager Tom Parker decided to budget 7 days and 3 assistants to do it. He based this decision on his own …show more content…

He no longer cared about the team getting the bonus. Millar refused to work for the company again, but Talbot works for them full time.
(299 words)

Analysis of the Decision
Parker’s budgeting decision is a good example of an individual acting with bounded rationality. This term was introduced by Simon in 1957 (as cited in Tolbert & Hall, 2008) to argue that normative models of decision making, which assume fully rational and objective judgement (Teale, Dispenza, Flynn & Currie, 2003), are unrealistic because human rationality is limited. Parker’s judgement may have seemed rational to him, but it was not rational for the organisation, a subtle distinction about rationality made by Storing (as cited in Tolbert & Hall, 2008). Parker’s judgement was also not rational in that he did not have all available knowledge and awareness of risk, which are the conditions of normative models (Teale et al, 2003) and the “official theory” of management (Anthony, as cited in Teale et al, 2003, p. 14). For example, Parker did not know about the variations in the terrain when he made his decision, and he also assumed that the assistant workers could work at the same physical rate that he could. Both of these limitations were factors resulting in a risk to on-time task completion.
(187 words)
This is one paragraph; this section requires another 2 or 3 paragraphs to fulfil the requirement of 700 words for this section.

Reflection
If I had been project

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